North Cook News

Sen. Laura Murphy's (D-Des Plaines) legislation to provide Illinois seniors more alternatives while searching for Medicare supplement plans was recently approved by the state Senate and House, according to a press release.

Senate Bill 147 (SB 147) would implement a 45-day annual open enrollment period for Medicare supplement policyholders between the ages of 65 and 75, starting on the policyholder's birthday.

"In the event that a policyholder’s circumstances change or their rates go up, their health status shouldn’t be a barrier to finding a more reasonably priced supplemental plan. I'm proud to announce the Senate passed this measure to prevent our older neighbors from being locked into a policy they don’t need and can’t afford," Murphy wrote in a Facebook post.

During the enrollment process, policyholders would be eligible to move to a new supplemental policy with either equivalent or reduced benefits from the same insurance provider; additionally, insurance providers would be unable to refuse, underwrite, or charge new policyholders based on their health status.

Murphy's proposal is based on a California law known as the Medigap "Birthday Rule," which gives Medicare supplementary plan holders 60 days to move to a plan of equivalent or lesser benefits on their birthday; other states have designated guaranteed-issue periods that take place during specific months or near the anniversary of the policyholder's original policy issue date.

After passing both chambers, SB 147 was sent to Gov. Pritzker.